Reliance Industrial Investments and Holdings Limited, a wholly owned subsidiary of Reliance Industries Limited, on Wednesday announced that it has successfully acquired 12.7% shareholding in SkyTran Inc.
Founded in 2011, SkyTran, Inc. is a venture capital and private office funded high technology company focused on advanced transportation solutions.
“Reliance has made a strategic investment into SkyTran as part of SkyTran’s recently concluded preferred stock financing, with an option to further invest an amount up to USD 25 million in convertible notes, subject to SkyTran’s board approval,” the company said in a statement.
SkyTran, which has partnered with National Aeronautics and Space Administration (NASA) in the US and Israel Aerospace Industries (IAI) in Israel, has developed breakthrough magnetic levitation technology for implementing personal transportation systems aimed at solving the problem of traffic congestion globally.
The firm currently has 8 patents approved and more than 40 patents pending approval, globally, including in India.
“Reliance has made the investment in SkyTran with the aim to foster an exclusive partnership in India, where it would work closely with SkyTran to develop pilot implementations followed by implementation of its network in India at scale. Reliance would play an active role in advancing the SkyTran solution, especially in Telecom (4G/5G/IoT/Giga Fiber), Digital Platforms and Services, Advanced Materials & Electric Batteries.” the company said in a BSE filing.
Reliance would also nominate a director on the Board of SkyTran.
Speaking on this transaction, Akash Ambani, Director, Reliance Jio, said “Our partnership with SkyTran reflects our commitment to invest in futuristic technologies. Reliance is well-poised to capitalize on its existing business portfolio and capabilities to accelerate the development of SkyTran across the world and especially in India.”
John Cole, Founder, and CEO at SkyTran said “We are excited to be working with Reliance. Reliance brings tremendous infrastructure and technical expertise and the ability to execute at the largest scale. We believe our partnership with Reliance has the potential to improve the lives of people in India and across the globe.”